An Explanatory Theory Of Multiple Factoring Of Accounts Receivable

Article 768 of the Civil Code stipulates the liquidation order of multiple factoring.The first paragraph of Article 66 of the Supreme People’s court’s interpretation on the application of the guarantee system in the civil code of the People’s Republic of China extends it to the cases of pledge of accounts receivable,factoring and general assignment competing.Therefore,the solution to the multiple factoring of accounts receivable is the problem of the priority of the rights of accounts receivable The solution of the problem.In order to better solve the rights disputes of the three parties,this paper intends to interpret article 768,and explain its coordinated application with Article 414 of the civil code,the handling of the situation of "neither registered nor notified",and the related issues of secret factoring.The core of factoring contract is assignment of creditor’s rights.To solve the problem of multiple factoring,it is necessary to solve the problem of assignment of creditor’s rights.This paper first analyzes the interpretation path of multiple factoring of accounts receivable from the perspective of assignment of creditor’s rights,that is,to clarify the legal basis of multiple assignment of creditor’s rights in legal theory,so as to provide a solution for legal analysis;then it introduces the solution path of multiple assignment of creditor’s rights in theoretical circles,starting from different time points,namely,assignment doctrine,notification doctrine and registration doctrine Secondly,it analyzes the order of the current contract law and the general rules of factoring.After clarifying the interpretation of the theory and legal system on the dispute of concurrence of rights,this paper combs the judicial application of the dispute of assignment of creditor’s rights in practice.It can be seen that the adjudication cases clearly reflect the characteristics of three kinds of interpretionism,and it is in line with the analysis of the reasons of concurrence of rights of accounts receivable at the beginning of the article.Finally,on the issue of concurrence of rights of accounts receivable,article 768 of the civil code should be applied according to the rule that "special law is superior to general law" when it is concurrence with Article 414.When there are disputes among the three,the best way to solve the problem of concurrence of rights is to give priority to the principle of registration,followed by the principle of notification and not to adopt the principle of assignment.In addition,the situation of "neither registered nor informed" is not easy to occur.The dark factoring business will be restricted by the rule of "registration first,right first",and the dark factoring person can not enjoy the protection of article 765.